Sapura Energy Secures $716.7MM of Drilling Contracts

Sapura Energy Berhad subsidiary Sapura Drilling said it has secured multiple contracts with a combined value of approximately $716.7 million (MYR 3.2 billion), including an optional period.

Sapura Drilling won two contracts from PTTEP Energy Development Limited for the provision of its tender assist drilling rigs, Sapura T-17 and Sapura T-18.

Both projects will begin in the second quarter of 2026, with a five-year firm period and an optional extension of three years, the Malaysian company said in a news release.

The company has also secured a contract extension from Chevron subsidiary Cabinda Gulf Oil Company Limited (CABGOC) for the tender assist drilling rig Sapura Jaya. The extension, which started in November 2024, will continue until November 2025.

Further, Sapura Drilling won a contract from ExxonMobil Exploration and Production Malaysia Inc. (EMEPMI) for services of the Sapura Berani drilling rig. The project, starting in the first quarter of 2026, involves development drilling for a period of 30 months.

Another contract was secured by the company from EnQuest Petroleum Production Malaysia Ltd for services by the Sapura Esperanza rig for drilling activities. The contract begins in the first quarter of 2026 and covers the drilling of four development wells offshore Malaysia.

Sapura Drilling has a fleet of five semi-tender rigs and six tender barge rigs, making it the largest drilling contractor in Southeast Asia by rig count and market share, it said.

The signed contracts have strengthened the group’s order book to a total value of $1.95 billion (MYR 8.7 billion) while the order book held by its joint ventures stood at $1.28 million (MYR 5.7 billion), the company said.

In addition to the drilling contracts, Sapura Energy’s Engineering and Construction segment has secured several key projects, including a pipeline installation in Brazil and an asset removal project in Australia.

Sapura Energy's CEO for its drilling business, Louay Louis Laham, said, “Our strength lies in our people, our capabilities, and our partnerships. We not only focus on safety and operational excellence but also on our commitment to collaboration with our clients. That’s how we maintained a consistent track record with top tier clients for more than 50 years of existence”.

“These contract wins reflect our ability to deliver value-driven solutions and strengthen client confidence in Sapura Energy. As we grow our order book, we remain committed to operational excellence and long-term value creation”, said Muhammad Zamri Jusoh, Group CEO of Sapura Energy.

In December 2024, Sapura subsidiary Sapura Upstream Assets Sdn Bhd (SUA) completed the sale of its 50 percent equity interest in SapuraOMV Upstream Sdn Bhd to TotalEnergy Holdings SAS.

SapuraOMV’s assets include a 40 percent operated interest in block SK408 and a 30 percent operated interest in block SK310, both situated offshore Sarawak, Malaysia. The Jerun gas field, located within the SK408 block, achieved its first gas in July 2024, ahead of schedule and within budget. SapuraOMV also holds exploration licenses across strategic regions, including Malaysia, Australia, New Zealand, and Mexico, according to an earlier news release.

“This strategic initiative underscores our commitment to Sapura Energy’s long-term Reset and debt restructuring plan; this divestment streamlines our portfolio and enables us to focus on our core capabilities, namely to deliver safe and innovative solutions to the energy industry,” Sapura Energy Interim Chairman Shahin Farouque Jammal Ahmad said.

To contact the author, email rocky.teodoro@rigzone.com